Mastercard Incorporated MA recently provided an update on third-quarter 2020 operating metrics, which showed decent recoveries in its business volumes.
Mastercard stated that the normalization phase is being witnessed in most markets, driven by the gradual reopening of businesses.
The normalization phase is characterized by gradual relaxation of social distancing measures and mobility limitations. Further, spending levels have witnessed a gradual improvement, wherein certain sectors are recovering at a faster pace than others.
Therefore, the company’s switched volume and switched transactions are showing an improving trend since July and August, partly owing to the relaxation of social-distancing measures in several markets. In fact, switched volume rose to 3% in the week ending Aug 28, which denotes a fair improvement from growth of 2% in the week ending Jul 28.
We note that switched transactions, which were up 3% in the week ending Jul 28, improved to 5% in the week